How long is a typical private mortgage term?
Updated: February 28, 2026CanadaFAQPrivate lending
Quick Summary
Private mortgage terms are usually short, often around 3 to 12 months, because the loan is meant to be transitional.
Private mortgages are commonly used as a bridge to a refinance or sale, so terms are often shorter than bank mortgages.
How to pick the right term
- Match the term to your exit plan timeline (plus buffer for delays).
- Understand renewal and extension terms before you sign.
- If you expect a refinance, start preparing early so you are not forced into an expensive renewal.
A slightly longer term can be cheaper in the real world if it reduces the chance of renewal fees and stress-driven decisions.